Prime Minister Montenegro announced that income tax rates will decrease up to the sixth bracket still this year. This reduction represents a tax relief of 400 million euros for taxpayers.
The tax relief will reach salaries in November, through new withholding tax tables. Workers will thus see a decrease in the monthly tax withheld.
The measure covers taxpayers up to the sixth income tax bracket, which includes a large part of the Portuguese middle class. This rate decrease aims to boost the economy and increase the disposable income of families.
The announcement comes within the framework of a government strategy to stimulate consumption and support taxpayers in the face of current economic pressure.
